7 Reasons to Start Your Own E-Commerce Website
Posted by Steven Snell in Internet MarketingE-commerce is a booming trend and one that does not appear to be going away anytime soon. More and more people around the world are using the internet to make purchases on everything from music, to home goods, to clothing, to auto parts, and anything else you can think of. The world of e-commerce gives the average person or small business the opportunity to business worldwide and to compete in a way that was never possible before.
In this article we’ll look at the benefits of running an e-commerce website and we’ll list seven of the leading reasons that you should consider starting your own e-commerce site.
1. Low Risk and Expense
If you want to own a traditional brick and mortar store, the costs and risks involved will be very high. Each month you will have expenses related to the rent or mortgage, upkeep of the property, other overhead costs, salaries of employees, inventory, and that is just the beginning. Anytime there are high costs involved in running a business, the risk is also going to be pretty high.
On the opposite end of the spectrum, an e-commerce site can be started with very little money and essentially no risk. You can get a simple site up and running for less than $100 (sure, this won’t give you the best e-commerce site ever, but it is possible to get started on this amount). The risks are not even comparable to those of running a traditional business.
2. No Employees
Just one of the issues that comes along with running a traditional business is managing the employees. This is really a full-time job in itself. Aside from the time aspect, employees also present one of the largest costs and risks for business owners.
If you run an e-commerce business you won’t necessarily need any employees at all. Most small e-commerce businesses could be run just by one person, or with a partner. Depending on the growth of the business and on your goals, you may eventually hire some employees for various jobs, but this is not a necessity to have a successful e-commerce business.
3. 24/7
Traditional stores will have hours of operation, and they’ll be closed at certain times. Some stores are open 24 hours a day, but they also have added costs for doing so.
If you’ve ever wanted to make money while you sleep, e-commerce is one option. There will be no need to close your store and customers will be able to visit your site regardless of the time of day or day of the week.
4. Almost No Barriers to Entry
The barriers to entry with a brick and mortar store are very large. The startup costs will be far more than most people can afford, even with sufficient loans. The competition is also likely to be very stiff.
E-commerce businesses offer an opportunity to the average person that involves very low barriers. It requires only a nominal amount of money to get started, and there are plenty of opportunities to do things on the cheap until your online store is producing some income.
5. Worldwide Market
As a traditional store owner, in order for customers to buy your products they will have to be close enough to your location to come to the physical store. Obviously, this limits your market to those who live or work within driving distance, or those who are traveling through the area.
However, as an e-commerce business owner you can easily do business with people in all corners of the world. Anyone with internet access can shop at your store. Yes, there are some disadvantages including shipping to other parts of the world, but it can be done if the buyer is willing to pay the added shipping, or you can sell electronic products that don’t require shipping.
6. You Don’t Have to Be #1 to Be Successful
For traditional brick and mortar stores, there is always a need to stay ahead of the competition in order to remain profitable and in business. If you can’t be one of the leaders in your industry, you probably cannot survive as a business.
On the other hand, with an e-commerce site you will have very low expenses, so almost everything that you make will be profit. Because of this, you won’t need to have the number 1 site for a specific industry, you can easily survive and remain profitable with just a small piece of the pie.
7. Flexible Hours
Running a traditional business means that you will probably need to be there and working just about every hour that it is open. Store owners usually have a very hectic schedule with long hours each week.
Running an online store is work and does require hours, but generally you can choose those hours as you see fit. If you are not a morning person you won’t have to be working early. You will usually be able to work a schedule that you choose.
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